And the news continues to get worse for people trying to build a new system. Those who want to buy graphics cards compete between scalps and miners to get cards. Remember, many people claim that NVIDIA sells cards directly to miners. Some may say that I will settle for a game laptop, but miners also buy game laptops to extract crypto. If you go one step lower and settle for a console, you will have to deal with scalps because consoles are also resold due to low inventory and high demand.
Tariffs, Chinese New Year and raw material supply all to cause GPU shortage
In December last year, I covered data on the resale market for these products, but I decided that an update was needed because the problem got worse. Michael Driscoll went on to collect all the data for these products that were sold on eBay in January. Tom’s Hardware worked with him to get updated data on the graphics card market. The new data is, to put it mildly, disappointing from an observer’s perspective and discouraging from a buyer’s perspective.
Why do we see an increase in the pricing of these components? It’s not the simplest case here. Most people would assume that the pandemic seems to be more under control, production would return to normal, but that has simply not happened. Many factors have caused this. The most obvious answer to the shortage is a shortage of raw materials. The supply chain is disrupted, so production will also be disrupted. AMD has said several times that getting substrate packaging has become increasingly difficult.
A person who does not have the full picture will respond with if the shortage still persists, why do prices continue to rise with about the same demand? The most obvious of these would be the tariffs, but the price jump on the resale lists for lower cards is greater than the price jump on the MSRP for these cards. Definitely a factor, but it is definitely not the main reason why the price may have occurred.
The location of these factories is in Asia, especially in Taiwan and China. The reason why this is important is because of the celebration of the Chinese New Year. This holiday pretty much shuts down the work in these regions for one to two weeks. If there is no stock from the factories, resellers can push the market and get people who need or really want a GPU to buy at an even higher price.
Data shows that 15,300 graphics cards have been sold on eBay from both NVIDIA and AMD
Let’s look at the data. About 15,300 graphics cards from both AMD and NVIDIA have been sold on eBay since the beginning of January. The majority of the cards are from the green team. Over 14,000 NVIDIA cards, ranging from RTX 3060 Ti to RTX 3090. Around 3000 RTX 3060 Ti are sold on eBay. The RTX 3070 had around 5400 sold on eBay is by far the most popular card. RTX 3080 falls in second place behind RTX 3080 with around 3400 sales. The king of the lineup eventually falls with about 2,300 sales.
AMD suffers the same fate, but fewer cards are sold due to less stock. The RX 6900 XT had 334 sales. The RX 6800 XT had 448 sales and the RX 6800 is close behind with 434 sales. Combine all of these and you get a total of 1,216 sales. That does not even mean selling a single NVIDIA card. It only shows the shortage problems AMD is facing because MSRP for these cards against the performance in cryptocurrency would be a popular alternative. AMD accounts for only about 8 percent of the graphics card resale market.
In addition to being sold at an incredible rate, people are paying exorbitant amounts for these cards. Let’s look at the increase in the resale price from January to February. Let me remind you that the January price we compare with the February price is not MSRP. It is the average resale price on cards that is already well above the MSRP. The average January resale price of the RTX 3060 Ti was $ 690, the RTX 3070 was $ 804, the RTX 3080 was $ 1,290, the RTX 3090 was $ 2,087, the RX 6800 was $ 865, the RX 6800 XT was $ 1,179, and the RX 6900 XT was $ 1,458. .
The card that took the biggest leap in February is the RTX 3060 Ti with a 33% jump in the resale price ($ 920). It was followed closely by the RTX 3080 with a jump of 24% ($ 1,593). This was followed by the RX 6800 with an 18% jump ($ 1,018). Right behind is the RTX 3070 with a jump of 17% ($ 940). Then comes the RX 6800 XT with an 11% jump ($ 1,312). The least affected was the RX 6900 XT with a jump of 8% ($ 1,570). The RTX 3090 may not have had the most significant jump of 14%, but the average resale price is $ 2,379. It might as well be renamed the Titan RTX for this generation.
All of this may make you feel that a console is a solution, but it is not. Consoles are also scaled. The data we used was only from eBay, but other sites like StockX have also started adding these cards to the market. The time to buy hardware is not now, and the shortage seems to be getting worse. For all consumers who want this hardware, it is best to try to capture stock.